S&P Global Ratings projects stable rating trends for Asia-Pacific financial institutions until 2025, driven especially by government support for systemically important banks, according to a Thursday report.

S&P credit analyst Gavin Gunning said about 91% of their bank rating outlooks are stable, even if entities face risks such as geopolitical tensions, property market weakness, and dampened economic recovery.

The rating agency said recent positive actions for some financial institutions in the region consider better sovereign outlooks.

Vietnamese banks will likely see constrained profitability due to the impact of a recent typhoon, while Thai banks will endure flood-related losses, S&P said.

Rising vacant rates in office space and the effect of a weak property market in mainland China strain Hong Kong banks, while Chinese banks may see a credit boost from the latest government support measures.